Opening of 1st phase expected in 2015, 2nd in 2017
Downtown’s largest apartment project wins approval; first rentals by 2015

Blue Sky, downtown’s largest apartment project at 939 units, won final approval Wednesday in response to rising demand from young singles attracted to the area’s vibrant urban lifestyle.

Civic San Diego, the city’s revitalization arm, approved the $300 million development at Eighth Avenue and B Street, whose developer hopes to open the first tower in 2015 and the second in 2017. Construction is expected to begin on the east tower this summer, barring an appeal to the Planning Commission.

“Downtown San Diego is one of the best apartment markets in the entire nation — it always has been and always will be,” said Bruce Gray, the architect-developer of the project at Gray Development in Phoenix, in partnership with Multifamily Equity Fund.

He said the rental rates will be decided later but noted that the current market rate starts at about $2.25 per square foot — that works out to about $1,000 per month for the Blue Sky units if they were available today.

The apartments, ranging from 455 to 967 square feet, will include 223 studios, 549 one-bedroom units and 167 two-bedroom units. The top of each tower, one up to 25 stories, the other up to 23, will include a swimming pool and rooftop garden. There will be two public parks at street level.

Blue Sky will be tucked between two of downtown’s densest projects, Symphony Towers to the west and Vantage Pointe to the east. Vantage Pointe, currently downtown’s largest residential project with 679 apartments, has more square feet that Blue Sky, but its units, originally designed as for-sale condos, are generally larger.

While quibbling over some of the details, CivicSD directors welcomed Blue Sky as helping meet the expected tripling of the downtown population to 90,000 over the next 30 years.

Director Cynthia Morgan cast the lone vote against the project, saying the board should take an extra month to review last-minute changes.